SOURCE: IDS Industries, Inc.

IDS Industries, Inc.

IDS Industries, Inc.

March 31, 2014 09:00 ET

IDS Industries Announces PMG Partnership With Nevada Cannabis Processor

Renowned Law Firm Black and LoBello Joins Team to Develop Production Facility in Localities Approving Medical Marijuana Distribution

LAKE ELSINORE, CA--(Marketwired - Mar 31, 2014) - IDS Industries, Inc. (OTCQB: IDST) announced today that its wholly-owned subsidiary, Propel Management Group, Inc. (PMG) has contracted with Aja Cannafacturing, (AJA), a Nevada company, along with Black and LoBello, a highly respected and nationally renowned law firm, to develop and launch of one of the first licensed medical marijuana processors in the state of Nevada. Upon the successful licensing and launch of the facility, AJA will become a subsidiary of IDST as a term of the contract.

"We are very proud to be a part of this venture and believe the team of experts that IDS Industries and PMG has put together is exemplary and is prepared to do business," stated Tisha Black, principal of Black and LoBello. Ms. Black explained, "The State of Nevada has set the 'gold standard' for cultivators, testing labs, processors and dispensaries and has positioned itself to be a bellwether state nationally. Nevada will continue to refine its series of regulations and procedures with exact deadlines that span over the next few calendar quarters. Among these is the commercial requirement that each business must have a minimum liquidity of $250,000 or more on deposit in a Nevada financial institution. While there is no guarantee of obtaining a production license within Clark County or passing State mandated regulations or future testing requirements, I believe IDS and its team has the credentials and ability to meet all of these milestones, deadlines, and requirements that lie ahead and accomplish AJA's contracted goals and objectives." Black and LoBello is comprised of attorneys with expertise in complex health and consumer issues and have a legal team with a diverse experience ranging from land use and building regulations and licensing to corporate law and legal administration.

AJA is submitting for the special use permit to open a cannabis processing center planned to be approximately 15,000 sq. feet. The facility is targeted to attain a maximum manufacturing capacity of 500 pounds of botanical raw material per month by utilizing cutting edge technologies such as solar energy creation and storage as well as the CO2 extraction methods. CO2 is considered the cleanest and superior method for extracting cannabis oils for both consumers and the environment since it leaves no residue and does not use toxic solvents. The facility will operate at a food grade level of quality, providing dispensaries and their patients both a safe and varied product line.

The plant is scheduled to be located within Clark County, the first local government in Southern Nevada to pass regulations that govern how and where medical marijuana businesses can operate, and is home to the vast majority of the state's population. On this past Friday, March 28, two legislative milestones occurred with the first having Clark County commissioners approving land-use and licensing regulations that cleared the way for prospective medical marijuana entrepreneurs to begin filing applications for special-use permits later in April. The new county regulations abide by state legislation passed in 2000 and in 2013 that set up the tax and distribution system to make medical marijuana accessible to patients. AJA's product line will be certified lab tested according to the recent state mandated guidelines passed by the Legislative Commission, the second legislative milestone approved the same day. The term "Cannafacturing" is the name from the industry's slang for the manufacturing and processing of cannabis and AJA has coined the term to highlight the expertise and professionalism that it will set as an industry standard.

Kendall Smith, President of AJA said, "We are very excited to have partnered with PMG and Scott Plantinga. With Scott's Six Sigma expertise, experience in developing and refining world-class quality systems, driving manufacturing efficiencies and managing production facilities, PMG provides the expertise we need to scale our ability to establish a flagship operation for the state of Nevada and deliver the finest and most appealing products for distribution." The Company stated with the new regulation enforcement rolling out for the first time at various government levels and the time that will be required to develop and build out AJA, it is projected the facility will not be fully operational until the fourth quarter of 2014.

"We look forward to working with AJA and believe this is a strategic opportunity for investors given the natural synergies that it provides. Charge! Energy Storage will gain a commercial customer in AJA while providing power storage and off-grid generation capabilities to the new manufacturing facility. AJA and Charge! can leverage their relationships with greenhouse partners and growers in Nevada to gain raw material suppliers and energy customers, respectively," said Scott Plantinga, CEO of IDST and President of PMG. Plantinga commented, "By working with Mr. Smith, who has over 10 years of cannabis processing experience providing quality oils, we will develop further our knowledge base and extend our business presence in being 'the provider of solutions' in this core marketplace for IDST."

The Company believes this market sector represents a significant opportunity for growth and revenue expansion and stated it will continue to seek other market opportunities that will drive long-term revenue and build value for its shareholders.

About IDS Industries, Inc.
IDS Industries, Inc., a diversified holding company, is focused on creating superior long-term returns for shareholders through a unique structure of diversified public and non-public holdings. Today, IDS is made up of two principal subsidiaries:

Charge! Energy Storage is a designer and developer of GIIRS-rated energy storage devices for residential, commercial, and light industrial markets and products that deliver clean stationary and portable electrical energy. The Company's residential & commercial products are large scale products that have characteristics applicable to their usage. Charge! has made a broad reaching commitment to create reliable and affordable hi-tech energy storage systems for all commercial and residential applications. The Company's proprietary integrated Battery Management and Charge Controller System (BMCCS) optimizes advanced lithium chemistry functions improving battery performance and extending battery life.

Propel Management Group (PMG) provides a full range of program management, acquisition, and lifecycle support services to its customers. PMG is at the forefront of integrating acquisition, logistics, engineering, and technology disciplines into a comprehensive lifecycle management approach. PMG continually strives to improve the process of developing, procuring, and sustaining its customers' systems to achieve their overarching goals of transformation, consolidation, and efficiency. Its Direct-to-Consumer business delivers comprehensive call center and online marketing solutions to brands seeking maximum reach and return on investment (ROI).

Forward-looking & Safe Harbor Statement
Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and those statements are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company cautions that these forward-looking statements are further qualified by other factors. The Company undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.

Contact Information